Question · Q4 2025
Christopher Stathoulopoulos sought comfort with the full-year guidance given past misses, requesting an EBITDA bridge, key performance indicators, and quantification of lost revenue or embedded demand from Q4 2025 due to factors like tariff shutdowns, FAA cancellations, and weather. He also inquired about the status of premium and tech initiatives (Avis First, Waymo) and whether the base case EBITDA guide assumes Americas revenue growth for the full year.
Answer
CEO Brian Choi reiterated Q4 impacts of roughly $100 million on revenue and a $50 million increase to PLPD reserves. He stated that the market moves quickly, making specific full-year metrics challenging, but reaffirmed DPU expectations ($400 in Q1, then low $300s), higher utilization, and lower fleet. Brian emphasized that this is the first outlook under current leadership, reflecting more conservative assumptions. CFO Daniel Cunha clarified that Zipcar UK actions had no material impact on results. Brian confirmed that premium and tech initiatives are not on pause; cost rationalization funds them. Avis First is expanding to Europe and commercial customers, and the Waymo partnership continues with Dallas gearing up, vehicles currently on Waymo's balance sheet. Daniel and Brian confirmed that the base case EBITDA guide for the full year does assume modest Americas revenue growth, signaling a return to a normalized environment.
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